GD's Political Animal: espionage

Showing posts with label espionage. Show all posts

Tuesday, March 5, 2024

Winnipeg virus lab scientists worked for China

Scientist couple who worked at Winnipeg virology lab shared information with Chinese military and Wuhan Institute, Canadian intelligence documents reveal.

Lies and scandal: How two rogue scientists at a secret lab triggered a national security calamity | CBC News | Catharine Tunney:

March 2, 2024 - "The release ... of hundreds of documents related to the dismissal of two scientists — Dr. Xiangguo Qiu and her husband Keding Cheng — has pulled back the curtain on an explosive national security probe at the Winnipeg-based National Microbiology Lab, part of the Canadian Science Centre for Human and Animal Health (CSCHAH). The investigation — and the fight to make information about the investigation public — took years.

"According to Public Health Agency of Canada (PHAC) documents, the agency's National Security Management Division was advised in September 2018 that Qiu had been listed as the inventor on a Chinese patent that might have contained scientific information produced at the CSCHAH in Winnipeg — and that she shared that data without authority.... Qiu, then head of vaccines and antivirals with the CSCHAH's zoonotic diseases and special pathogens division, said she didn't know her name was on the patent.... The National Security Management Division also began an investigation into allegations that Cheng also had breached security policies in relation to students under his supervision....

"On July 5, 2019 Qiu and Cheng were told they were subjects of an administrative investigation and ordered to stay home. At that point, their access cards and computer accounts were deactivated. By February 2020, PHAC had determined the couple violated multiple policies by, among other things, shipping antibodies outside of the lab without authorization — including to the China National Institute for Food and Drugs — and failing to monitor restricted visitors who were later accused of removing government property without permission.... Alarmed by the findings, PHAC sent its administrative report to the Canadian Security Intelligence Service (CSIS), which reopened its security assessment of Qiu and Cheng.....

"The documents show the service's initial assessment of the couple in April 2020 gave them the benefit of the doubt.... But by June of 2020, CSIS felt differently — and was armed with evidence. In a document drafted that month and released this week, CSIS wrote that Qiu was using the level 4 lab in Canada 'as a base to assist China to improve its capability to fight highly-pathogenic pathogens'.... CSIS said Qiu applied to China's Thousand Talents Program for the stated purpose of helping the People's Republic of China build up its infectious disease research. Beijing's Thousand Talents Program was set up to 'boost China's national technological capabilities and may pose a serious threat to research institutions, including government research facilities, by incentivizing economic espionage and theft of intellectual property,' said CSIS in its report....

"CSIS said Qiu told 'outright lies'.... The intelligence service also said it believed Cheng was not truthful in his interviews and had worked with a restricted visitor at PHAC 'who is connected to the People's Liberation Army'.... Taking CSIS's findings into consideration, PHAC suspended the couple's security clearances — a condition of their employment — in August of 2020.... Their dismissals were announced in January 2021....

"CBC has made multiple attempts to contact Qiu and Cheng. The Chinese embassy in Ottawa has denied that China stole Canadian information....

"After opposition parties spent years demanding access to government documents about the case, the federal government released hundreds of redacted pages on Wednesday. The government initially opposed releasing the bulk of the information, arguing that it would be detrimental to national security. Prime Minister Justin Trudeau said he would instead share the documents with the National Security and Intelligence Committee of Parliamentarians (NSICOP), which is made up of MPs who are appointed by the prime minister.... In June 2021, opposition parties voted to declare the Liberal government in contempt of Parliament over its refusal to release the documents. The federal government then took the Speaker of the House of Commons to court to get a judge's confirmation that it has the legal authority to withhold documents requested by members of Parliament sitting on a Commons committee....

"On Thursday, Prime Minister Trudeau and Conservative Leader Pierre Poilievre traded shots over the case. Poilievre accused Trudeau of allowing China to 'infiltrate' Canada and covering it up by delaying the release of the documents.... Later that day, Trudeau accused Poilievre of weaponizing national security....

"The RCMP says it's still investigating the matter."

Scientists fired from Winnipeg lab shared information with China, documents say | CBC News: The National | February 29, 2024:

Monday, October 30, 2023

House committee calls for foreign agent registry

House of Commons ethics committee report calls on Canadian govrenment to implement a foreign agent registry without delay.

Ethics committee pushes to unmask foreign agents | Western Standard | Christopher Oldcorn:

Octiber 29 2023 - "The Commons Ethics committee, in an all-party report, stated Parliament needs to pass legislation to reveal the identities of foreign agents. According to Blacklock’s Reporter, a private bill about a foreign registry has been waiting in the Senate for a year and a half....

"'The government has announced its intention to introduce a bill,' said the report Foreign Interference and the Threats to the Integrity Of Democratic Institutions, Intellectual Property and the Canadian State. 'At the time of adopting this report, no bill has been introduced.'

"Senate Bill S-237 An Act to Establish the Foreign Influence Registry would mandate public disclosure of all lobbyists acting for “a foreign government, individual or entity” under threat of $200,000 fines or two years in jail. Senator Leo Housakos (QC) introduced the bill on February 24, 2022. However, it has yet to be scheduled for a Second Reading.....

"Bloc Québécois MP René Villemure (Trois-Rivières, QC), vice-chair of the Commons Ethics committee, stated on Tuesday all committee members agreed a registry should be implemented. 'We want to make sure this happens,' Villemure told reporters.

"The United States has had its Foreign Agents Registration Act since 1938. In 2018, Australia also passed a Foreign Influence Transparency Scheme Act to monitor foreign agents.

"The cabinet has not provided reasons for the delays in implementing this measure. In February 6 testimony, when Marco Mendicino was the Public Safety Minister, he stated in his testimony at the Commons Special Committee on Canada-China Relations the issue was complicated.... 'There is an intention to begin consultations on the possibility of creating such an initiative, but before we do that, we have to be sure Canadians understand why,' replied Mendicino.

"'Is there something that gives hesitance or pause on the utility of a registry?' asked Liberal MP Peter Fragiskatos (London North Centre, ON). 'I wouldn’t describe it as hesitation,' replied Mendicino. 'I think we need to be diligent and thoughtful and inclusive when it comes to bringing all Canadians along.'

Foreign interference report calls for foreign influence registry, new criminal offences | CBC News | October 24, 2023:

Thursday, August 3, 2023

Operation Fox Hunt agents convicted in USA

Three Americans, including a retired NY police officer, have been convicted of interstate stalking on behalf of Operation Fox Hunt, the Chinese government operation to repatriate fugitives and asylum-seekers for punishment.

Three convicted in US plot to force people to go to China | Al Jazeera:

June 20, 2023 - "A retired New York Police Department (NYPD) sergeant and two other men have been convicted for their roles in a scheme to forcibly repatriate US residents to China, according to authorities. Retired sergeant Michael McMahon, 55, and Queens resident Zhu Yong, 66, were convicted on Tuesday by a Brooklyn jury of acting as illegal agents of the Chinese government, conspiracy to commit interstate stalking and interstate stalking.

"The men, along with Zheng Congying, who was convicted of conspiracy to commit interstate stalking and interstate stalking, were part of 'Operation Fox Hunt', what US authorities have called China’s 'global and extralegal repatriation effort' that targets dissidents and opponents of Chinese leader Xi Jinping.

"Beijing has said the effort is part of an anti-corruption campaign and has maintained its law enforcement agencies follow international laws. According to a report by Spanish-based rights group Safeguard Defenders, nearly 10,000 Chinese nationals worldwide have been forcibly returned since 2014.

"Prosecutors said McMahon and Zhu waged a campaign to 'harass, stalk, and coerce' residents of the US to return to China. In a statement, Breon Peace, United States attorney for the eastern district of New York, said McMahon and Zhu 'knowingly acted at the direction of a hostile foreign state'. ''It is particularly troubling that defendant Michael McMahon, a former sergeant in the New York City Police Department, engaged in surveillance, harassment, and stalking on behalf of a foreign power for money,' Peace said....

"Prosecutors said that Zhu had hired McMahon, who was working as a private detective, to surveil a New Jersey resident wanted by Beijing from 2016 to 2019. McMahon provided information on the wanted man, his wife and daughter, incuding his previously unknown US address to Chinese operatives. The operation was supervised by several Chinese officials, including two who transported the wanted man’s elderly father from China to the US in an attempt to convince him to return to China in 2017....

"Zheng, in September 2018, drove to the New Jersey residence of the man and his wife. After pounding on the front door and attempting to force it open, prosecutors said Zheng and a co-conspirator left a note that said, 'If you are willing to go back to the mainland and spend 10 years in prison, your wife and children will be all right. That’s the end of this matter!'

"McMahon, who faces up to 20 years in prison, had argued during the trial that he did not know he was working for China. Three other defendants had previously pleaded guilty in the case....

"Separately in April, US authorities arrested two men they accused of operating a 'secret police station' in New York City on behalf of the Chinese government. They were accused of using the post to locate Chinese dissidents living in the US."

Operation Fox Hunt: China’s Transnational Repression | Epoch News | China Insider | February 16, 2021:

Wednesday, July 26, 2023

Accused ex-Mountie part of Operation Fox Hunt?

Security experts say that William Majcher, the ex-Mountie charged last week under Canada's Security of Information Act, likely worked for Operation Fox Hunt, a Chinese government operation targeting the Chinese diaspora which the Trudeau regime originally supported.

How an ex-Mountie accused of conspiracy became China's 'hired gun' in a campaign Canada once tacitly supported | CTV National News | Judy Trinh:

July 25, 2023 - "As an RCMP officer, William Majcher, 60, used fake identities to infiltrate organized crime groups to investigate money laundering.... After leaving the national police force in 2007, Majcher moved to Hong Kong, where he helped create a firm called Evaluate Monitor Investigate Deter Recover (EMIDR) ... to help China and its corporations recover assets it alleged were stolen, Majcher said in previous interviews.... Three security experts told CTV National News it’s likely Majcher was part of China’s notorious Operation Fox Hunt, an anti-corruption campaign under the regime of President Xi Jinping....

"Created in 2014, Fox Hunt and its later iteration, Sky Net, targeted Chinese nationals living abroad. Under the program, the Chinese Communist Party (CCP) would recruit police officers, private investigators and lawyers in foreign countries to help track down fugitives suspected of financial crimes and bring them back to China to face prosecution. The CCP’s latest statistics from October 2022 show that more than 12,000 Chinese Nationals have been 'involuntarily returned' to China under Operation Fox Hunt and Sky Net.

"According to Safeguard Defenders, a Spanish non-government organization, alleged fugitives were repatriated using extradition as well as covert methods such as threats and kidnapping. Safeguard says targets can also be lured to another country with an extradition treaty with China and arrested there. And not all of those forced to return home are suspected criminals. Human rights groups say fighting corruption was also a guise used by the CCP to find and silence its critics....

"The RCMP, Majcher’s former employer, has charged him under the rarely used Security of Information Act with preparatory acts for the benefit of a foreign entity and conspiracy. Majcher is accused of foreign interference-related activities for using his knowledge and extensive network of contacts to allegedly help the Chinese government 'identify and intimidate' an individual in Canada. Scott McGregor, a former military intelligence officer who has researched Operation Fox Hunt, says the charges likely stem from Majcher’s work tracking down alleged criminals for the Chinese government.... But McGregor points out that prosecuting Majcher under these charges will be complicated because Canada once tacitly supported China’s international efforts to fight corruption.

"In September 2016, nearly a year after he became prime minister, Justin Trudeau welcomed former premier Li Keqiang to Canada. During that visit, Li, China’s second-in-command, sealed a historic agreement to work together to recover and share in the return of stolen assets. According to Chinese state media, Canada was the first country to enter into such a treaty with China since it launched its anti-corruption campaign in 2014. The CCP estimated that as many as 25 per cent of its most wanted financial fugitives had fled to Canada. Under the agreement, Canada and China would co-operate in investigations and split the proceeds of crime once they were recovered.... During Li's visit, where removing trade barriers was also discussed, Trudeau expressed in a speech his excitement about developing 'a real partnership that will benefit all our people for generations to come.'

"But five years later, the government began striking a different tone. In February 2021, Public Safety Canada issued a warning about Operation Fox Hunt stating that China’s anti-corruption efforts weren’t just used to bring criminals to justice, but its tactics could also be used to 'silence dissent, pressure political opponents and instill a general fear of state power on Canadian soil.' Later that year in the autumn of 2021, the RCMP would begin investigating Majcher.

"Police have not released the name of the victim that Majcher is alleged to have targeted, but other Canadian cases related to Operation Fox Hunt have been made public. Safeguard Defenders claimed in a March 2022 report that Zhang Yan from Canada was warned by Chinese police to return because they had placed his father under arrest. The human rights organization also revealed the presence of a global network of illegal Chinese police stations, including at least five in Canada. Earlier this year, CTV National News reported on the case of Edward Gong, a Chinese-Canadian entrepreneur and former Toronto mayoral candidate who is suing the Ontario Securities Commission. Gong alleges the OSC endangered his life by co-operating with Chinese police in a fraud investigation.

"Katherine Leung, a policy advisor for advocacy group Hong Kong Watch, says the arrest of Majcher could also erode the diaspora’s trust in law enforcement. 'They’re told to go to the police when things like this happen,' says Leung. 'Knowing that there's someone who could be in the RCMP today and be on China's side tomorrow tells us that there needs to be a better way for these diaspora groups to report foreign interference and intimidation.' Leung wants to see a dedicated phone line to report foreign interference, staffed with workers who can communicate in Cantonese and Mandarin. Leung says Majcher’s case also illustrates the need to create a foreign agent registry. If the registry existed, Majcher would be legally required to identify himself as someone who worked for the Chinese government instead of allegedly operating in the shadows....

"Leung is watching the case to see who else could be implicated. The Mounties say they’re looking into more than 100 cases of foreign interference."

All you need to know about China's espionage programme 'Operation Fox Hunt' | WION | July 9, 2020:

Monday, July 24, 2023

Ex-RCMP officer charged with foreign interference

A retired RCMP officer has been charged with having "contributed to the Chinese government's efforts to identify and intimidate an individual outside the scope of Canadian law."

Retired RCMP officer charged in foreign interference case | CBC News:

July 21, 2023 - "A retired RCMP officer has been charged with foreign interference, the Mounties said in a news release Friday. William Majcher, 60, 'allegedly used his knowledge and his extensive network of contacts in Canada to obtain intelligence or services to benefit the People's Republic of China,' the RCMP in Montreal said in the news release.

"The release alleged that Majcher 'contributed to the Chinese government's efforts to identify and intimidate an individual outside the scope of Canadian law.' The alleged foreign interference did not involve elections or politics, an RCMP spokesperson said.

"Cpl. Tasha Adams told Radio-Canada that Majcher works for a firm based in Hong Kong that was collecting information about an individual in Canada. That information was being gathered on behalf of China, which wanted to target the person in question, Adams said. She added she did not know the nationality of the person being targeted. Police said Majcher is from Hong Kong.

"He appeared in court in Longueuil, Que. by videoconference on Friday. He is charged with preparatory acts for the benefit of a foreign entity and conspiracy. Both alleged offences fall under the Security of Information Act....

"The RCMP said their Integrated National Security Team (INSET) launched an investigation into Majcher's "suspicious activities" in fall of 2021.... David Beaudoin, the head of Montreal's INSET, told CBC the investigation was launched through a complaint-driven process, but the complaint didn't come from the victim. Beaudoin said Majcher was arrested Thursday in Vancouver, but the investigation is taking place in Quebec because Majcher spent most of his RCMP career in B.C.... 'Because of those links, the national security program of the RCMP deemed it necessary to assign the file to a different unit,' he said....

"Majcher's LinkedIn page says he worked on a number of money laundering investigations as a covert operator while serving with the RCMP. In 2006 he moved to Hong Kong, where he has been working as a risk assessment adviser for the investment banking sector, says his LinkedIn profile.

"According to his profile on the Hong Kong-based website Speakers Connect, Majcher founded a corporate risk firm called EMIDR in 2016. EMIDR's website lists state-sponsored espionage, intelligence gathering and money laundering as some of its areas of expertise. It also says the firm specializes in asset recovery.

"An Australian Broadcasting Corporation (ABC) article from 2019 said Majcher was part of Project Dragon, a Chinese operation to recover money allegedly siphoned out of the country illegally. In the article, Majcher ... told ABC that he was working for a third-party "entity" that was associated with Chinese police "in some form or another." Adams told CBC the evidence 'appears' to suggest the Chinese government was one of Majcher's clients. But Beaudoin said the RCMP is unable to state whether these charges are related to Majcher's past employment."

Former RCMP officer charged with foreign interference on behalf of China | CBC News: The National | July 22, 2023:

Sunday, June 4, 2023

How to properly investigate foreign interference

The Johnston Report was inadequate. Here’s how to properly investigate foreign interference in Canada | The Hub - Thomas Jarmyn:

May 31, 2023 - "In light of the NDP motion that calls on David Johnston to step down in his role as special rapporteur on foreign interference, there are growing questions about what an alternative process might look like, including the scope, mandate, and possible commissioners. My answers to these questions are based upon military experience, almost thirty years as a lawyer, three years as counsel to the minister of public safety responsible for national security matters, and three and a half years as head of an administrative tribunal.

""Mr. Johnston’s initial report ... appears to have been prepared based upon documents and briefings that were proffered by the government and its agencies. The report does not appear to have been based upon an investigatory or inquisitorial model. Rather it seems that Mr. Johnston consumed the information that was offered on the government’s menu. Striking as well is that neither Mr. Johnston nor his Counsel, Sheila Block, have any considerable experience in national security matters nor experience in government handling national security files. The effect of this is a willingness to take at face-value assertions regarding the handling and dissemination of intelligence.... Without the power of subpoena and the ability to compel documents, he was left to rely upon what was given to him. There is no assurance he received the full picture. In fact, from the absence of discussions with the Elections Commissioner or the RCMP, it is apparent that he did not.

"What would a better solution have been? Any solution must address two issues of concern:

What foreign interference has taken place and what are its impacts?
What should Canada do about it?

"Those questions need not be answered in the same venue. Answering the first question would require investigation into the operations of several agencies. It is also the question that is most likely to require consideration of intelligence information. Consideration of how Canada should respond to foreign interference operations is going to be less about intelligence and more about hard choices that have to be made. Canada’s response will affect diaspora communities, have economic impacts, affect public funding of research, and how political parties operate (to name a few of the issues). However, both questions may be addressed under the Inquiries Act.

"The first step would be to appoint a commissioner to conduct a departmental investigation under s. 6 of the Inquiries Act ... to assess the scope of foreign interference in Canadian governance.... The ideal commissioner would be a current or retired judge of the Federal Court of Canada who has experience in proceedings related to national security.... The commissioner would be entitled to counsel in the matter.... The benefit of appointing someone in this manner is that the commissioner has broad powers under ss. 7 to 10 to obtain evidence. The commissioner could compel witnesses to appear; a witness who lies subject to perjury proceedings; and a person under summons who fails to appear is committing a summary offence. The commissioner also has the right of entry into any premises and to compel production of any document necessary to fulfill the mandate.

"The commissioner would be mandated to author a report setting out the nature of foreign interference in Canada. There would be both a public and classified version of that report. The report would also include recommendations to improve governmental response to foreign interference. The expectation would be to have the report written within six months of commencement.

"The second stage would be to appoint a Public Inquiry under s. 2 of the Inquiries Act. Expertise in the matter of national security is not as critical here.... The question to be answered by the s. 2 inquiry would be 'How should Canada respond to foreign interference efforts?' The inquiry would have access to both the public and classified versions of the departmental inquiry.... [T]he public inquiry would be less a matter of past intelligence and more a weighing of consequences of choices. The inquiry would hear from non-government actors.... It would seek feedback regarding the consequences of proposed responses and evaluate responses against the history of foreign interference in our society. Finally, it would make recommendations regarding responses, both legislative and policy, to address the problem of foreign interference.

"Some will ask 'How is this process different from the one put in place by the present government?' Run by someone with experience in the national security field and the power to follow the documents and information rather than relying upon what is given to him by the government, this process is far more likely to arrive at the truth. The power to compel evidence will protect witnesses and whistleblowers from allegations they have breached the Security of Information Act as well as protect them from spurious defamation suits designed to intimidate witnesses. This two-stage process has the advantage of gathering all of the information necessary to define the problem of foreign interference in Canada."

Tom Mulcair critical of David Johnston's recommendation: "It doesn't wash" with Canadians | CTV News | May 25, 2023:

https://www.youtube.com/watch?v=5XliVgf34qM

Sunday, May 28, 2023

Trudeau's special rapporteur insulted intelligence community, says ex-spy

CEO of Canadian risk consulting company with 30 years' experience in intelligence calls special rapporteur David Johnston's comments on Canada's intelligence community insulting and unfair.

David Johnston owes Canada's spies an apology | Ottawa Citizen - Phil Gurski:

May 26, 2023 - "I spent more than 30 years with Canada’s two intelligence services, the Communications Security Establishment (CSE) and the Canadian Security Intelligence Service (CSIS). I worked in collection, cryptanalysis, translation, analysis and distribution.... I know how intelligence is produced and how it is marketed, and a bit on how it can help decision-makers be better informed. In short, I know that intelligence has a purpose and makes a difference.

"You wouldn’t know that from former governor general David Johnston’s report on Chinese interference in our democratic process. While I imagine not many were surprised at how little he criticized the government of Justin Trudeau, Canadians should be told that his scathing words on our intelligence agencies were inaccurate, unfair and, frankly, insulting. Johnston says he met with the heads of CSE and CSIS.... In that, he is one fortunate Canadian, as he had access to information few would ever get. And yet, based on what I read in his 59-page report, he either didn’t listen or he failed to understand what he was being told.

"Johnston suggests — no, he boldly states — that our spies are getting the sharing of intelligence all wrong. He says that the distribution of intelligence is broken and puts the blame squarely on the backs of the agencies that produce it (and not on those who receive it as customers). Furthermore, he notes that intelligence is 'piecemeal' and hence of little value as it rarely provides the 'whole picture'....” Lastly, he accused the person who leaked CSIS reports to Canadian media on China’s election interference of having 'malicious' intent....

"For the reader’s (and apparently Johnston’s) sake, here is a primer on how intelligence works: Raw data is collected from a variety of sources (human, intercept, imagery, allies, etc.), processed, analyzed, corroborated across multiple sources wherever possible, summarized, put into a nice, small package (on average two to three pages maximum) and delivered to officials with the requisite security clearance. This distribution is often carried out by dedicated CSE/CSIS staff who are posted within the very buildings where clients such as senior government officials work, to insure personalized service and to be on hand to answer any questions, or pass feedback or requests for more intelligence along to headquarters.

"The product is often left with clients; they have the liberty to share it with others who have equal security clearances. (Whether or not they do is not a CSE/CSIS issue.) If an official in a given department decides that intelligence is not worth passing on (or that it inconveniently goes against entrenched policy) to those higher up the chain — including the prime minister — how can the fault for a lack of awareness be placed at the feet of the creators of the product? The intelligence bodies have done their job....

"[N]o one in intelligence is so arrogant as to believe that our product is the be-all and end-all of information that on its own can decide matters (although I have seen where it actually did that). We realize that there are other considerations but hope that the intelligence gathered is at least part of the calculation. It seems clear to me that the intel on China was almost completely ignored — for decades — by a number of federal governments.

"On the alleged reasons for the leak (note: I do not support leaks, on principle), I wonder how Johnston knows the individual responsible had evil intent. It strikes me that this unknown person may be a very frustrated public servant who is sick and tired of having decades of solid information ignored and took it upon him/herself to let Canadians know what this government (and previous ones) was (not) doing. How is that 'malice'?

"Those of us who worked, or are still toiling, in intelligence go to the office every day with one purpose only: to get the best data possible from sensitive sources and share that with senior officials to keep them informed. We do not expect everything we do to make a crucial difference but we do expect our customers to recognize our expertise and our commitment to Canada. To have our reputations sullied by people who have no background in the business is not fair.

"Phil Gurski is president and CEO of Borealis Threat and Risk Consulting."

Was David Johnston the right person for special rapporteur job? | CBC News | May 26, 2023:

Tuesday, May 16, 2023

Alleged Chinese agent arrested in Boston

Boston resident Litang Liang was arrested last week for acting as an agent of the Communist Chinese government without registering with the U.S. government.

Man arrested in Boston for allegedly acting as foreign agent for CCP, suppressing political dissenters | Post Millennial - Hannah Nightingale:

May 12, 2023 - "Boston, Massachusetts resident Litang Liang was indicted on Tuesday and charged with plans to act as an agent of a foreign government, according to Fox Business. Liang is accused of acting as an agent of the CCP beginning in or around 2018.

"'Litang Liang knowingly acted and caused others to act in the United States as an agent of a foreign government, namely, the People's Republic of China, without providing prior notification to the United States Attorney General, as required by law,' the US District Court stated in its indictment. The US District Court alleges that Liang monitored and reported on individuals and organizations for the CCP ... as well as providing information on potential recruits.

"'Liang communicated with the PRC government officials – knowing them to be PRC government officials – in several ways,' the indictment states. 'These included telephone calls and messages using the social media application WeChat [...] All WeChat communications are stored on servers outside the United States.'

"Liang is the co-founder of the New England Alliance for the Peaceful Unification of China, created in January of 2019, [and served in] the anti-Taiwan independence organization through at least 2021....

"Liang pleaded not guilty on the charges of conspiracy to act as an agent of a foreign government and acting as an agent of a foreign government without notice to the attorney general. He was given a $25,000 cash bond. Liang is prohibited from leaving Massachusetts and will be electronically monitored. He has also been ordered not to have any contact with the Chinese government or members of the New England Alliance for the Peaceful Unification of China."
Read more: https://thepostmillennial.com/man-arrested-in-boston-for-allegedly-acting-as-foreign-agent-for-ccp-suppressing-political-dissenters?utm_campaign=64466

Boston man charged with spying on Chinese dissidents in U.S. | Washington Times - Matt Delaney:

May 15, 2023 - "The U.S. Attorney’s Office for the District of Massachusetts announced that 63-year-old Litang Liang, of Brighton,... is accused of surveilling Chinese dissidents in the Boston area and relaying information back to the Chinese government between 2018 through 2022. He is also accused of organizing counter-protests against pro-democracy dissidents and identifying prospects for the PRC’s law enforcement arm, the Ministry of Public Security....

"Mr. Liang spied on Chinese family associations and community organizations that had pro-Taiwan leanings, according to prosecutors. He is also accused of taking photos of a person who “sabotaged” PRC flags in Boston‘s Chinatown neighborhood in October 2018. Further, he recorded a dissident at a 'Boston Stands with Hong Kong' march in August 2019 and took photos of anti-PRC dissidents who were demonstrating outside of the Boston Public Library in September 2019.

"All of the documentation Mr. Liang is accused of compiling was sent to either the PRC, the Ministry of Public Safety or the United Front Work Department, which reports directly to the Chinese Communist Party.... He faces up to 15 years in prison if convicted."
Read more: https://www.washingtontimes.com/news/2023/may/15/litang-liang-boston-area-man-charged-spying-chines/

China Sentences 78-Year-Old US Citizen to Life in Prison on Espionage Charges | Statecraft | May 16, 2023:

Thursday, May 4, 2023

Cdn. Conservative MP not told of threats to family

Conservative MP Michael Chong wants to know why the Liberal government never told him that China's intelligence agency had planned to 'sanction' his family in Hong Kong, and why the Chinese diplomat behind the alleged plan is still in Canada enjoying diplomatic immunity.

Canadian lawmaker says China targeted his family for harassment | The Guardian - Leyland Cecco:

May 3, 2023 - "A Canadian lawmaker has accused government officials of turning a blind eye to Chinese harassment of his family as pressure mounts on Justin Trudeau to launch a public inquiry into Beijing’s attempts to meddle in the country’s domestic politics. The Globe and Mail reported that China’s intelligence agency had sought information about Michael Chong’s family in Hong Kong 'for further potential sanctions' over the Conservative MP’s criticism of Beijing’s human rights abuses. The paper also reported that Zhao Wei, a Chinese diplomat in Toronto, was part of the harassment campaign.

"'The government did nothing about a person in Canada that was targeting me and my family and targeting other members of parliament,' Chong told reporters on Wednesday afternoon. 'The government knew about this two years ago and did nothing.' 'They didn’t expel [Zhao]. In fact, they continued to accredit this individual as a diplomat, giving this individual special rights and immunities not afforded to Canadians, allowing this individual to continue the correction and intimidation campaign,' he said, adding he believed there were 'political calculations' in the decision not to notify him....

"Chong has been an outspoken critic of Beijing and led a 2021 effort to hold a parliamentary vote to recognize China’s treatment of the Uyghur population as genocide. He said that he had made the decision years ago to cut off contact with family in Hong Kong out of an 'abundance of caution' for their safety and is unaware of what threats or harassment they may have faced....

"Trudeau said he was previously unaware of the allegations and only learned of them through the Globe’s reporting. The prime minister said he was later told by the Canadian Security Intelligence Service (CSIS) that it 'wasn’t a significant enough concern' to notify him.

"Earlier in the day, the Conservative leader, Pierre Poilievre, said he found it 'very hard to believe'” that CSIS wouldn’t tell the prime minister or his top public safety minister about the threats. 'This is insane. You know, if any one of you were to threaten the family of an MP because of a vote in the House of Commons, you would be in jail. This guy’s not only not in jail, he’s in Canada with diplomatic immunity'....

"Both Poilievre and New Democratic party leader, Jagmeet Singh, have repeatedly called on the prime minister to call a public inquiry into China’s election interference efforts. A recently appointed special rapporteur, David Johnston, is expected to make a decision on whether to call an inquiry later this month."

"Conservative MP Michael Chong on Chinese govt targeting his family," CPAC, May 3, 2023:

Wednesday, March 22, 2023

Behind Canada's election interference scandal

China's communist government has been interfering in Canadian politics for years, but the 2021 election marked an escalation, with some Canadian federal campaigns colluding in illegal activity.

China’s Election Meddling: Canadians Deserve a Serious Response | The Walrus - Ira Wells:

March 2, 2023 - " On February 17, the Globe and Mail published evidence that China had deployed a sophisticated campaign to interfere in the 2021 Canadian federal election with the apparent aim of securing a minority Liberal victory. Drawing from classified Canadian Security Intelligence Service [CSIS] documents, the Globe’s reporting revealed a multipronged Chinese interference strategy, which included disinformation campaigns, undeclared cash donations, and mobilization of international Chinese students in a bid to defeat (mostly Conservative) politicians deemed hostile to Beijing’s interests.... The Standing Committee on Procedure and House Affairs was already investigating allegations that China had supported eleven candidates —nine Liberal and two Conservative—in the Greater Toronto Area in 2019....

"For years, China has maintained an espionage network comprising spies, party propagandists, and secret police in Canada and elsewhere. According to veteran foreign affairs journalist Jonathan Manthorpe’s 2019 book Claws of the Panda: Beijing’s Campaign of Influence and Intimidation in Canada, the methods employed by CCP agents in Canada include “cyberattacks, harassing phone calls, the distribution of hate propaganda, following and monitoring of individuals by CCP agents, harassment at anti-CCP demonstrations, detention and bullying of Canadians visiting China, [and] intimidation of relatives in China'.... So widespread are these rights violations that Amnesty International Canada published a 2020 report documenting a 'systematic campaign of harassment and intimidation that is often clearly linked to or backed by Chinese state authorities.'

"Among the arms of CCP influence said to be operating in Canada are the Confucius Institutes [CIs] — language and cultural centres which began appearing here in 2006. The Confucius Institute of Toronto currently lists thirteen Canadian CIs affiliated with various universities (Carleton, the University of Waterloo, St. Mary’s) and school boards (Edmonton and, for a while, the Toronto District School Board).... Manthorpe describes these institutes as 'espionage outstations for Chinese embassies and consulates through which they control Chinese students, gather information on perceived enemies, and intimidate dissidents'....

"[T]he CCP’s 2021 Canadian election interference feels like an escalation. The leaked CSIS documents reveal the extensive role played by Chinese diplomats and consulate staff. Diplomats spread disinformation about Conservative intentions to impose a Trump-style ban on Chinese university students. They facilitated undeclared cash donations to—mostly Liberal—candidates favoured by the CCP. (While the precise amount of these transfers is unknown, Global News reported that a CCP proxy group allegedly funnelled approximately $250,000 through an Ontario MPP and federal campaign staffer in the 2019 election.) They helped businesses hire international Chinese students and then enlist them as paid, full-time “volunteers” on chosen campaigns.

"But it gets worse for Liberals, especially given the material advantages that Chinese meddling appears to have conferred on the party. According to the December 20, 2021, CSIS report quoted by the Globe, CCP agents encouraged donors to contribute to Beijing-approved candidates, for which they received tax credits from the federal government. Those campaigns themselves then illegally returned 'the difference between the original donation and the government’s refund' to the donors. In other words, ... Canadian campaigns were willing participants in illegal activity. Conservative MP Michael Cooper, who sits on the Standing Committee on Procedure and House Affairs, said in an interview that these details from the CSIS documents ... suggest 'collusion' between 2021 federal candidates and 'the CCP interference network.' All of this, needless to say, is in obvious violation of the Canada Elections Act, and the RCMP should open an investigation if it hasn’t already.....

"Prime Minister Justin Trudeau immediately downplayed the issue.... On February 28, the government issued a report indicating that national security agencies believed the attempts at foreign interference had not 'met the threshold of impacting electoral integrity'.... The report, penned by Morris Rosenberg, a former deputy minister of foreign affairs and former CEO of the Trudeau Foundation, adds that the Critical Election Incident Public Protocol 'is somewhat confusing as to what is required in order for the threshold to be met' but that the threshold is being construed as 'requiring an incident or incidents that threaten the integrity of the entire election'.... But even if the Chinese did not tilt the overall election result, that still means a foreign power may have rendered the votes of tens of thousands of Canadians moot....

"CSIS has advised the prime minister that public transparency is crucial in cases involving foreign interference in Canada’s democratic processes. Liberals themselves used to campaign on transparency and accountability. In this case, the prime minister kept Canadians in the dark, sitting on highly sensitive evidence of foreign election meddling for seventeen months, until enterprising reporters and CSIS whistleblowers took matters into their own hands. In the interest of rebuilding public trust, the government should listen to its own national security advisers and come clean. That begins with releasing the names of the eleven GTA federal candidates in whose campaigns China is alleged to have interfered in 2019, then providing Canadians with a full account of what actually happened in 2021.... A serious response from the government would include the creation of a foreign agents registry, already on the books in Australia and the United States, which would require the public disclosure of those working for foreign interests....

"One final revelation from the CSIS documents should give Canadians pause: an unnamed Chinese diplomat quoted as saying Beijing 'likes it when the parties in Parliament are fighting with each other.' In other words, China’s interference campaign may have been about more than swinging ridings or influencing the election as a whole and also about exacerbating the political polarization in this country. Each and every partisan outburst resulting from this affair is another minor gesture appreciated by Beijing."

Majority of Canadians want inquiry into alleged election interference, CBC, March 15, 2023:

Thursday, December 22, 2022

Alleged RCMP spy gets bail after 3 years in jail

RCMP official accused of breaching Canada's secrecy law released on bail | CBC News:

December 21, 2022 - "After three years behind bars awaiting trial, Cameron Ortis, the RCMP official accused of breaching Canada's secrecy law, has been released on bail.Justice Robert Maranger presided over the bail review and delivered his decision in Ontario Superior Court on Wednesday. The reasons behind his decision and the evidence and testimony heard in court during the review hearing are all covered by a publication ban.

"Ortis, who served as director general of the RCMP's national intelligence co-ordination centre, is charged with violating the Security of Information Act. He is accused of trying to share sensitive information with a foreign entity or terrorist organization and also has been charged with sharing operational information in 2015. Ortis was briefly released on bail and ordered to live with his parents in Abbotsford, B.C., in October [2019; see Background - gd], before his bail was revoked. He's been in custody ever since.

"Ortis is scheduled to go to trial in October 2023."

Background

Alleged RCMP spy Cameron Ortis ordered back to jail pending trial | CBC News - Catherine Tonney:

November 8, 2019 - "Today, Ontario Superior Court Justice Marc Labrosse revoked the 47-year-old's bail, ordering the head of RCMP's national intelligence co-ordination centre back into custody. Labrosse's reasons and the details of the Crown's review application are covered by a publication ban, along with the evidence and submissions heard during the bail hearing.

"Ortis was released on bail to his parents' care in Abbotsford, B.C. on Oct. 22. He was forbidden from using any device that connects to the internet and told to report to an RCMP detachment every week. The court heard the Crown's application for a bail review last week. It was granted."

"The smartest guy in the room: Cameron Ortis and the RCMP secrets scandal" - The Fifth Estate, CBC, December 8, 2020:

How a high-stakes gambler set authorities on the trail of accused Canadian spy Cameron Ortis | CBC News - Scott Anderson, Andrew Culbert, Bob McKeown:

December 7, 2020 - "A high-stakes American gambler who is an FBI informant and goes by the nickname Robin Hood 702 played a key role in a series of events that eventually led the RCMP to charge their head of intelligence, Cameron Ortis, with leaking secrets. R.J. Cipriani, whose nickname incorporates the 702 Las Vegas area code, built his reputation by winning money in casinos and donating much of it to worthy causes.

"But in 2011, he was asked to gamble money in Australia by former U.S. college football player Owen Hanson.... [F]earing he was being drawn into criminal activity, he went to the FBI. That led to Hanson being charged and convicted of drug trafficking.... Police discovered six encrypted cellphones Hanson had purchased from Richmond, B.C.- based Phantom Secure, a company the RCMP had been investigating for allegedly supplying encrypted technology to organized crime. The FBI then joined with the RCMP and Australian police in an investigation of Phantom Secure. Ortis is alleged to have offered Phantom Secure secret information.

"In March 2018, the FBI arrested Phantom Secure CEO and founder Vincent Ramos in Washington state. Federal police in Australia also raided several locations and seized more than 1,000 Phantom Secure cellphones. In Canada, the RCMP executed search warrants on Ramos's home and business addresses in British Columbia, but it is still unclear what they seized. It appears the RCMP information to obtain the warrants has been sealed.

"At the time of the Ramos arrest and raids, the RCMP said little about the case and it received scant media attention in Canada. But that changed 18 months later when the RCMP arrested their own intelligence chief, Cameron Ortis, in part for allegedly leaking operational information to Ramos."

Friday, November 25, 2022

Trudeau government won't say why it used Emergencies Act

Trudeau government won't share secret legal basis for invoking Emergencies Act | Toronto Sun - Brian Lilley:

November 24, 2022 - "Justice Minister David Lametti admitted Wednesday that the Trudeau government didn’t use the legal definition to decide to invoke the Emergencies Act — they used their own reasons, but you can’t see them. This is the opposite of what the legislation calls for and flies in the face of what the inquiry is really all about.

"Yet, time and again on Wednesday, Lametti cited solicitor-client privilege and refused to answer questions on the guiding legal or intelligence reasons for invoking the act. As justice minister, Lametti is the government’s lawyer and he’s saying he can’t reveal his advice unless the government allows it to be released.

"Justice Paul Rouleau tried to gently press Lametti on this issue, asking how he could understand and pass judgment on the legal basis of invoking the Emergencies Act when the government was not forthcoming on the legal rationale. 'I guess the answer is we just assume they acted in good faith in application of whatever they were told,' Rouleau said. 'I think that’s fair,' Lametti replied.

"Fair for the government, not fair to Rouleau or to the Canadian public. The main question for the Emergencies Act inquiry in Ottawa is supposed to be whether the Trudeau government was justified in using the emergency legislation. The text of the Emergencies Act legislation is clear, and strict, on what constitutes a public order emergency, which is the kind the Liberals invoked.

"Section 3 of the act states that a national emergency is one that 'cannot be effectively dealt with under any other law of Canada'... [S]ection 16 says that a public order emergency is one 'that arises from threats to the security of Canada.' The act [defines] what constitutes a threat to the security of Canada as a threat that 'has the meaning assigned by section 2 of the Canadian Security Intelligence Service Act'....

"This legislation, and section 2 of the CSIS Act, are written in very plain language that is simple for any Canadian to understand. The [CSIS] act lays out four key areas that meet this definition of threats to Canada’s national security: Espionage or sabotage, foreign influenced activities detrimental to the interests of Canada, the threat or use of acts of serious violence for the purpose of achieving a political, religious or ideological objective, and attempts to overthrow the government.

"We know that [none of] the RCMP , the OPP nor the Ottawa Police thought invoking the Emergencies Act was necessary. We also know that the official report by CSIS said that the convoy protests did not meet the legal threshold set out by law on any of the four points. When CSIS director David Vigneault was asked why his agency said that the legal threshold wasn’t met but he still advised invoking the act, he said the justice department lawyers briefed him. When asked what they said, solicitor-client privilege was [again] invoked....

"When Parliament passed the Emergencies Act in 1988, the goal was to ensure there were limits on the use of extraordinary powers by any future government. They wrote in clear instructions and clear definitions as a public assurance that the act would not be a political tool. By using a legal basis and definitions not found in the act, the Trudeau government is making a mockery of Parliament’s intentions and the efforts of the inquiry they called to pass judgment on their actions."

Saturday, November 19, 2022

Privy Council used its own definition of "emergency" to recommend Emergencies Act

Canda's Emergencies Act explicitly defers to the country's intelligence agancy, CSIS, in determining a 'public order emergency,' and CSIS determined that the Freedom Convoy was not such an emergency. However, the Privy Council used its own definition instead in order to recommend that the Act be invoked.

Memo advising PM to invoke Emergencies Act admitted its interpretation was 'vulnerable': docs | CBC News - Catharine Tunney:

November 18, 2022 - "The memorandum to the prime minister suggesting the government invoke the Emergencies Act for the first time in Canadian history acknowledged its interpretation of a national security threat could be challenged, the inquiry reviewing that decision heard Friday. The Privy Council Office document — entered into evidence at the Public Order Emergency Commission Friday — was sent on the afternoon of Feb. 14.... The government announced its decision to invoke the act just after 4:30 p.m. ET that same day.

"'PCO notes that the disturbance and the public unrest is being felt across the country and beyond the Canadian borders, which may provide further momentum to the movement and lead to irremediable harms — including to social coercion, national unity and Canada's international reputation,' it reads. '"In PCO's view, this fits with the statutory parameters defining threats to the security of Canada, though this conclusion may be vulnerable to challenge'.... Eight months later, the memorandum's author, Clerk of the Privy Council Janice Charette, defended her advice....

"The question of whether the federal government met the legal threshold to invoke the Emergencies Act is one of the most important ones on the commission's plate.... Under the law, cabinet must have reasonable grounds to believe a public order emergency exists — which the Act defines as one that 'arises from threats to the security of Canada that are so serious as to be a national emergency.' [Clerk of the PCO] Janice Charette told the Emergencies Act inquiry that there is a broader definition of a threat of violence than the one identified by CSIS, and it was this broader definition that led to her recommending the PM invoke the Emergencies Act.

"The act defers to the Canadian Security Intelligence Service (CSIS) definition of such an emergency — which includes serious violence against people or property, espionage, foreign interference or an intent to overthrow the government by violence. The commission has seen evidence showing the director of CSIS didn't believe the self-styled Freedom Convoy constituted a threat to national security according to the definition in CSIS's enabling law. Charette said she weighed CSIS's assessment but said it was the combination of the economic and public safety impacts of the protests that, in her view, constituted a public order emergency.

"Deputy Clerk Nathalie Drouin — who, before coming to PCO, was the deputy minister at the Department of Justice — told the commission she believed the situation met the threshold. 'The threat had grown beyond the ability to end the blockades in a sustainable and durable way; extraordinary resources were required to clear Windsor, which diverted the blockade to Bluewater, raising concerns about the number of resources available,' said a document summarizing Drouin's interview with the commission in September....

"The document also showed PCO was becoming increasingly frustrated with the police response. Drouin 'recalled losing hope that local police forces in Ottawa and Windsor were capable of executing their operational plans as time went on and no concrete police actions materialized,' said the interview summary.

"The commission has [also] seen an email RCMP Commissioner Brenda Lucki sent to Public Safety Marco Mendicino the night before the government invoked the Emergencies Act last February. Lucki wrote that she didn't think police had exhausted all available tools to end the ongoing occupation of downtown Ottawa by protesters who had been demanding an end to COVID-19 restrictions. Charette testified Friday that if the head of the RCMP felt the Emergencies Act should not have been invoked, she could have told her."

Tuesday, May 25, 2021

A disgruntled ex-employee with disturbing views

Dominic Cummings' flawed lockdown fundamentalism must be challenged | Daily Telegraph - Sherelle Jacobs:

May 24, 2021 - "To misquote the Lionel Shriver novel, we need to talk about Cummings. First came the almost adolescently vengeful Twitter rampage against No 10 over its early handling of Covid. Now the former aide allegedly aims to 'napalm' the Prime Minister when he gives evidence to the health and science select committee on Wednesday.... The more Mr Cummings briefs against his former boss, and pours social media scorn on lockdown-sceptic arguments, the more he comes across as a vindictive former employee, vainly obsessed with his reputation and appearing intellectual....

"Cummings’s criticisms lack power because they are already the consensus. This in itself is disturbing. To most of Westminster, along with swathes of the public, it is self-evident that we failed to lock down early enough. Old hat that the state’s early 'test and trace' surveillance plans and faith in the power of behavioural manipulation lacked ambition. Clear to the point of cliched that early interest in herd immunity was reckless and irresponsibl ....

"In this world view, the only question of importance is whether the Government should fall on its sword for these shameful errors or has redeemed itself with a world-beating jab rollout. The latter judgment still seems likely to prevail, despite Mr Cummings’s best efforts. Still, even if the former adviser is ancient history, his authoritarian take on lessons learned from the pandemic looks set to prevail, at least for now. It is very possible that in 18 months’ time, when the fallout of lockdowns is clear, Mr Cummings’s position will prove a lonely one. Yet in the short term, at least, he represents the political mainstream.

"This is problematic for two reasons. First, it is not clear that the Cummings consensus is borne out by the scientific evidence. Although the argument goes that 'hard' and 'fast' action, such as that taken by Taiwan, was the best way to stop people dying, it remains unclear whether lockdowns do more than buy time (and potentially push deaths into winter).... The Cummings argument that the tradeoff between lockdowns and the economy is a myth is also questionable. Despite attempts by lockdown advocates to 'settle the argument' by selective use of data, it is in truth too early to say if locking down hard and fast can save both lives and the economy....

"The Cummings consensus is not simply factually spurious but potentially dangerous. The establishment of 'fast, hard' lockdowns as the policy gold standard could spell stay-at-home orders every time there is a variant scare. So, too, the institutionalisation of fallible modellers as a new breed of philosopher kings, thanks to the precautionary principle. The unconditional acceptance of lockdowns – and with this the demolition of the individual’s right to freedom – also risks leading us into ethical quagmires from which there is no obvious escape.

"Society seems to have accepted that locking down those who might be a public health threat is a necessary measure. If, in line with legal norms encapsulated by the European Convention on Human Rights, society also deems it unacceptable to withold freedoms from those who are no longer a public health threat (ie the innoculated), then it follows that the development of a vaccine demands the division of society into two tiers of citizens – the vaccinated whose movements can’t be legitimately restricted, and the unvaccinated, whose activities can....

"Just as dangerous is the consensus crystallising that our politicians must ... learn from 'democracy-friendly' bio-surveillance in the likes of Taiwan. True, ... Beijing busily uploading the vaccine information of its citizens onto its dystopian social credit system WeChat is not the same as the proliferation in Taiwain of apps designed by tech firms to help people avoid Covid hotspots and track the local facemask shortages – something we could perhaps learn from. Nevertheless we need to be careful....

"Already, some of the influential Silicon Valley types whom Cummings so admires are publicly dabbling in arguments that democracy may be obsolete in the new era of big tech and the Straussian view that espionage is necessary to build a just society. Dominic Cummings may be an oddball in Westminster and a figure of fun among the public at large, but the bio-authoritarianism that he embodies should be taken seriously."

Saturday, September 5, 2020

The espionage that took down Nortel

Did Huawei bring down Nortel? Corporate espionage, theft, and the parallel rise and fall of two telecom giants | The Intelligencer - Tom Blackwell:

February 24, 2020 - "Nortel Networks ... led the way in developing digital telephone networks worldwide in the 1970s and 1980s. By the turn of the last century ... it boasted over 90,000 employees and ... accounted for a third of the worth of companies on the Toronto Stock Exchange. Its technological prowess is still legendary.... Then, in 2000, the speculative Internet bubble that had so elevated Nortel suddenly burst.... In January, 2009, Nortel filed for bankruptcy protection....

"Nortel’s financial troubles were well documented, but what didn’t become public until years later was espionage traced back to China....

"Michel Juneau-Katsuya was head of the CSIS Asia-Pacific desk in the late 1990s when the service became aware of 'spying activities the Chinese were conducting' against Nortel.... When the intelligence agency warned the company, it all but ignored CSIS. This led Juneau-Katsuya to a startling conclusion: 'To this day, I believe there might have been one or more agents of influence controlled by the Chinese in [Nortel] which succeeded in neutralizing our warning.'

"A little later, around 2000,... [at] a Nortel facility in Texas, Huawei returned a fibre card ... and asked for a refund, recalls Lawrence Bill, a forensic analyst who worked on the subsequent investigation.... [W] hen Nortel engineers looked closely, they realized the 'bleeding-edge' gear had been disassembled and reverse engineered, says Bill.... Meanwhile, the company started noticing knock-off versions of some of its products in Asian markets, he says. Nortel considered suing, but dropped the matter after the Huawei office across the road in Texas closed down....

"[I]n the spring of 2004 ... a Nortel employee in the U.K. noticed some documents he’d stored in the company’s 'LiveLink' database had been downloaded by a senior executive in Canada. The Brit helpfully emailed the manager — optical-networks president Brian McFadden — to say he was available to answer any questions McFadden might have about the material. The executive’s response? I have no idea what you’re talking about. Nortel’s security staff in Raleigh, N.C., were promptly alerted.

"Larry Bill, based in Raleigh, noticed a troubling fact: Logs indicated that McFadden had signed into the Nortel system from multiple locations around the world, places he had never visited.... Security advisor Brian Shields discovered that not one, but seven Nortel executives, including CEO Frank Dunn, had been hacked, and that the hackers were vacuuming an alarming volume of sensitive material out of its databases.

"By the end of his investigation, Shields says he was able to track the theft of over 1,400 documents from the LiveLink server, and that was only during a six-month period when bosses allowed him to monitor the stealing. He found evidence the break-in of Nortel’s internal computer network had started no later than 2000, and probably began in the 1990s. He says it lasted past 2009, when he was laid off. He traced most of the hacks back to IP addresses and four Internet service providers (ISPs) in China. When material was actually downloaded from Nortel, it mostly ended up at an ISP in Shanghai....

"He cites a 2013 report by cyber-security firm Mandiant, which revealed the existence of a major Internet-espionage organization in Shanghai, likely “Unit 61398” of the People’s Liberation Army. Mandiant tracked thefts of data from 141 companies in 20 major industries....

"Shields, who was Nortel’s representative on the Network Security Information Exchange, a U.S. government initiative to help protect the national telecom infrastructure ... has no evidence of who ultimately received the documents, but notes that only a Nortel competitor would benefit from the information, helping it develop products, craft sales pitches and out-sell rivals. Shields cannot prove that Huawei benefited from the hacking, but is convinced that its rise to a world telecommunications superpower — as Nortel simultaneously withered away — is no coincidence.... And yet he is certain the Nortel CEO never saw that report. His investigation wound down after a few months, and it appears no one notified firms that later bought Nortel assets that its computers might be infected.

"CSIS got in touch again early in 2009, offering to help Nortel with the hacks, Shields says, but by then it was too late. Within a week, the company had filed for bankruptcy protection.... A few years later, as the National Defence Department prepared to take over Nortel’s former research campus in Ottawa, it discovered evidence of another type of spying — old-school listening bugs implanted in the building during Nortel days, a senior Defence officer told the Ottawa Citizen and Globe and Mail."

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